Japan’s largest steel manufacturer Nippon Steel Corp. will acquire steel producer United States Steel Corp. for $14.9 billion, leading to a significant expansion of its current production in the United States.

With the acquisition, NSC — primarily located in Japan, the Association of Southeast Asian Nations, and India — will enhance its manufacturing and technology capabilities and enable it to expand the geographic areas to better serve it customers, U.S. Steel officials said in a Dec. 18 news release.

As a result of NSC’s acquisition of U. S. Steel, its expected total annual crude steel capacity will reach 86 million tonnes – accelerating progress towards NSC’s strategic goal of 100 million tonnes of global crude steel capacity annually.

“Today’s announcement … benefits the United States – ensuring a competitive, domestic steel industry, while strengthening our presence globally,” U. S. Steel President and CEO David Burritt said. “Our shared decarbonization focus is expected to enhance and accelerate our ability to provide customers with innovative steel solutions to meet sustainability goals.”